H&R Block $HRB had a volatile trading session (6/11). The tax preparation company just reported its Q4 fiscal 2019 (ended 4/30/2019) earnings report. Here's a summary from Zacks.com:H&R Block (HRB) Beats Earnings and Revenue Estimates in Q4H&R Block, Inc. reported fourth-quarter fiscal 2019 (ended Apr 30, 2019) EPS of $4.32, higher than the Zacks Consensus Estimate of $4.11. Earnings decreased 20.4% on a year-over-year basis. How Was the Estimate Revision Trend? Investors should note that the earnings estimate revisions for H&R Block depicted an optimistic picture prior to the earnings release. The Zacks Consensus Estimate for fourth-quarter fiscal 2019 increased 0.5% over the last 60 days. The company has an impressive earnings history having outperformed the Zacks Consensus Estimate in three of the last four quarters with an average beat of 3.11%. Revenues Higher Than Expected H&R Block recorded total revenues of $2.33 billion which outperformed the Zacks Consensus Estimate of $2.32 billion but declined 2.5% year over year. Key Stats to Note: H&R Block exited the quarter with cash and cash equivalents of $1.6 billion compared with $203.2 million at the end of the prior quarter.There is also news of an acquisition of Wave Financial for $405M. Here's an outline from Seeking Alpha:H&R Block enters into agreement to acquire Wave FinancialH&R Block entered into a definitive agreement to acquire all outstanding shares of Wave Financial for $405M, funded with available cash. The acquisition expands H&R Block’s product and client portfolio and enhances its position in the small business market. Based on the expected timing of closing, H&R Block estimates that the transaction will generate $40-$45M of revenue for fiscal 2020. Additionally, ~57M U.S. workers are freelancers, a number that is expected to grow to roughly 87M by 2027, representing over half of the U.S. workforce.Furthermore, the price was right under a key resistance. The convergence of event reaction and technical breakout could be factors to the wild volatility, although the volume was relatively mild during the 6/11 session:HRB Daily Chart(click to enlarge)Bullish Signs:- We can see that price has been consolidating above the cluster of moving averages. This is a subtle sign that the market was slightly bullish since April.- Ability to hold above $26 would continue to maintain the subtle bullish structure.- If price can also close above the resistance around $27.70, we can call it a bullish breakout.- Furthermore, the RSI is holding above 40 after it pushed above 70 in April. This reflects bullish momentum building. Bullish Breakout from Triangle:- The bullish breakout is not just from the recent consolidation, but from a multi-year triangle seen below on the weekly chart.- We can see that price has been in a converging consolidation pattern (triangle) since the sharp dip in late-2015-early-2016. - Also note that since 2017, the RSI was able to tag 70 and has been holding above 40 for the most part - a subtle sign that the market was building bullish momentum within this consolidation pattern.- A break above $30 would probably be a clearer sign of potential bullish continuation.- A breakout from a multi-year consolidation would likely result in a strong push.- In this scenario, I would anticipate upside to at least the 2015-high around $37, with the potential of pushing higher i.e. $40. - The volatility surrounding the current breakout reflects the potentially aggressive move to follow. - Still, I would like to see more volume to give weight the bullish outlook.HRB Weekly Chart(click to enlarge)